(Solved by Humans)-You are to simulate cost behavior using probabilistic simulation

Discipline:

Type of Paper:

Academic Level: Undergrad. (yrs 3-4)

Paper Format: APA

Pages: 5 Words: 1375

Paper Details

?You are to simulate cost behavior using probabilistic simulation (Monte Carlo simulation) and have been provided with the following cost estimates. Materials cost will range between $33 and $41 per unit, labor between $22 and $28 per unit, and utilities between $3 and $6 per unit. The probability distributions of cost per unit are as follows.

Materials:
? The probability is .21 that the cost will be $33. ? The probability is .20 that the cost will be $35. ? The probability is .32 that the cost will be $38. ? The probability is .27 that the cost will be $41.

Labor:
? The probability is .12 that the cost will be $22. ? The probability is .18 that the cost will be $23. ? The probability is .22 that the cost will be $24. ? The probability is .28 that the cost will be $25. ? The probability is .20 that the cost will be $28.

Utilities:
? The probability is .36 that the cost will be $3. ? The probability is .33 that the cost will be $5. ? The probability is .31 that the cost will be $6.

Task:

A. Complete the attached ?Simulation Template? to determine the following costs: 1. Average materials cost per unit
2. Average labor cost per unit
3. Average utilities cost per unit

4. Average total cost per unit

Note: Run 10 trials using the random numbers that are provided on the ?Simulation Template? for each probability distribution. Use the random numbers in the exact sequence that they appear on the template for each cost.


Note: Submit your completed spreadsheet as an attachment to this task.

B. Determine the selling price per unit that should be established for this product using your simulation results and assuming that the company wants to realize an average markup of $23 on each unit sold.



Trial
1
2
3
4
5
6
7
8
9
10
Total
Average

Random
Number
28
14
44
51
91
38
79
70
98
11

Materials
Cost
per Unit

________

Random
Number
21
50
90
71
10
11
70
16
88
67

Labor
Cost
per Unit

________

Random
Number
85
64
15
66
45
74
62
18
74
35

Utilities
Cost
per Unit

________

Total
Cost
per Unit

________



Bypass any proctored exams 2025. Book your Exam today!
? Stressed About Your Proctored Exam? You're Not Alone. But We've Got the Solution! ?
Failing attempts? Confusing materials? Overwhelming pressure?

✨ We help you pass your exam on the FIRST TRY, no matter the platform or proctoring software.

✅ Real-time assistance
✅ 100% confidential
✅ No upfront payment—pay only after success!

? Don’t struggle alone. Join the students who are passing stress-free!
? Visit https://proctoredsolutions.com/ and never get stuck with an exam again.

? Your success is just one click away!

Solution details:

STATUS
Answered
QUALITY
Approved
ANSWER RATING

This question was answered on: 10 May, 2025

Solution~000802207.zip (25.37 KB)

(Solved by Humans)-You are to simulate cost behavior using probabilistic simulation


This attachment is locked

Our expert Writers have done this assignment before, you can reorder for a fresh, original and plagiarism-free copy and it will be redone much faster (Deadline assured. Flexible pricing. TurnItIn Report provided)

$11.00 ~ Download Solution (Human Written) Rewrite this Paper Afresh for me, no Ai
Pay using PayPal (No PayPal account Required) or your credit card . All your purchases are securely protected.